Should you stay on HDB's 2.6% concessionary loan or refinance to a bank? As at 31 October 2026, HDB-eligible bank packages run from roughly 1.54% to 1.97% p.a., so refinancing still saves real money, but banks raised their 2-year fixed rates twice in October and floating packages are now the cheaper side, with Hong Leong Bank's 1.65% the one cheap fixed rate left. POSB now lists a single HDB package, the 3-Year CPF-OA HDB Loan from 1.78%, pegged below the CPF Ordinary Account rate; its 2.08% 3-year fixed is gone. CPF has confirmed HDB's own rate stays at 2.6% to 31 December, UOB's online HDB loan promotion runs to 31 March 2027, and DBS/POSB's refinancing cash rewards now run to 31 December. We compare the 5 best HDB home loan options in Singapore for 2026 (the HDB concessionary loan, DBS/POSB, OCBC, UOB and Standard Chartered), plus the 75% LTV rule that changed how much cash you need upfront.
Should you stay on HDB's 2.6% concessionary loan, or refinance to a bank?
> Quick view (31 Oct 2026): bank rates for HDB flats run 1.54% to 1.97% against HDB's 2.6%. The cheapest broker-quoted HDB package is floating (OCBC and Maybank, 1.54%), the one cheap fixed rate left is Hong Leong Bank at 1.65%, and the cheapest rate a bank publishes itself is POSB's CPF-OA HDB Loan at 1.78%. DBS/POSB refinancing cash (S$2,300 from S$300,000) now runs to 31 December.
The default HDB option, and the one that is not going anywhere. It is pegged 0.1 percentage points above the CPF Ordinary Account rate, which CPF Board confirmed on 22 September 2026 stays at its legislated 2.5% floor from 1 October to 31 December 2026, so HDB's rate is 2.6% for the rest of the year and has been stable for over a decade. The market formula behind the OA rate computed just 0.32% for February to April 2026, far below the floor, so the next review in January 2027 is very unlikely to move it either. Note the LTV limit was cut from 80% to 75% on 20 August 2024, so HDB no longer lets you borrow more than a bank does and you need 25% down either way.BEST FOR: first-time BTO buyers who want simplicity, a rate that never moves, and the ability to fund that entire 25% from CPF with no cash outlay. Trade-off: roughly 0.6 to 1.05 points dearer than bank packages right now, which is about S$2,500 to S$4,200 a year on a S$400k loan. You can refinance to a bank later, but you cannot switch back to HDB.
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Singapore's largest bank, the one most HDB owners default to, and the only one of the five that publishes an HDB rate outright.THE PACKAGE: the 3-Year CPF-OA HDB Loan is now POSB's only HDB package; the 2.08% 3-Year Fixed and the older 1.60% 5-Year FHR6 loan are no longer listed (checked 31 October 2026). It costs 1.78% p.a. for years 1 to 3, pegged 0.72 points below the CPF Ordinary Account rate, then 2.20% in years 4 and 5 and 2.40% after that, so it stays below HDB's 2.6% for the life of the loan as long as the OA rate stays at its 2.5% floor. Minimum loan S$100,000, and POSB puts the average saving at about S$3,100 a year during the lock-in on a S$400,000, 20-year loan.HOW IT BEHAVES: because it tracks the CPF rate rather than SORA, it behaves like the HDB loan it replaces, only cheaper. It is not the cheapest rate on the market (broker tables show floating HDB packages from about 1.54% and DBS's own 2-year fixed at 2.33%), but it is the cheapest one a bank prints, and it does not drift with SORA. The one risk is that it would rise if the OA rate ever lifted off the floor. PERKS: no early repayment fee, fees waived if you sell during the commitment period, one free package switch after three years, legal and valuation subsidies for refinancers, and free Lasting Power of Attorney certification if you apply by 31 December 2026.REFINANCING CASH: DBS/POSB pays HDB refinancers S$2,300 on loans from S$300,000, S$2,500 from S$500,000, S$2,800 from S$1,000,000 and S$3,200 from S$1,500,000, for applications from 1 July to 31 December 2026 (extended from 31 October).NEW PURCHASE: buyers of a completed home get shopping vouchers instead, from S$300 on a S$300,000 loan up to S$1,200 from S$1,500,000, also to 31 December 2026.BEST FOR: borrowers who already bank with DBS or POSB, want everything in one app and prefer a rate that does not move with SORA.
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OCBC consistently prices near the front of the local-bank pack on HDB packages, though the exact winner shifts month to month.THE RATE NOW: on PropertyNet.SG's October 2026 table (updated 20 October) OCBC is joint-cheapest for HDB floating with Maybank at 3M SORA + 0.30%, about 1.54%, while its HDB 2-year fixed has climbed to 2.30% after two October repricings (in September brokers had it at 1.60% to 1.65%). OCBC's own site still carries a promotional 1-month Compounded SORA + 0.98% package for years 1 and 2, reverting to + 1.40%, about 2.34% at 26 October SORA, so the broker spread is far tighter.THE REAL EDGE: the features on OCBC's own refinancing page rather than the rate. Its SORA package lets you prepay up to 50% of the loan amount in the first 2 years, a far larger allowance than the 20% that gets quoted around, plus a free switch to another pricing package after the first year, new loans only. That is real money saved if you expect a year-end bonus or a windfall and want to cut the principal early. OCBC states a S$100,000 minimum loan for HDB flats.BEST FOR: cost-focused borrowers happy to float who want flexibility on lump-sum prepayments. Confirm the prepayment allowance in your Letter of Offer, since terms are package-specific.
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UOB's pitch is flexibility, and its promotion is currently the most concrete of the five. Apply online for a UOB HDB Home Loan and you get up to S$2,700 in cash and Takashimaya vouchers, including up to S$2,000 in cash for refinancing, for online applications submitted from 1 October 2026 to 31 March 2027 with the letter of offer accepted by 7 April 2027. It is not valid with third-party or agent referrals. The voucher tiers are published: S$200 on a loan of S$300,000 to under S$500,000, S$500 from S$500,000 to under S$1,000,000, and S$700 at S$1,000,000 and above. On rates, UOB publishes only its floating package, a limited tranche at 3-month Compounded SORA + 0.70% for years 1 and 2, + 0.80% in year 3 and + 1.00% thereafter, with a 2-year lock-in and a S$250,000 minimum loan. At the 3M SORA level of 26 October 2026 (about 1.27%) that prices near 1.97%, well above the 3M SORA + 0.45% (about 1.69%) that PropertyNet.SG's 20 October table lists for UOB (its broker 2-year fixed is 2.05%), and it is restricted to new direct-to-bank customers, so a brokered application will not qualify. For anything fixed, UOB asks you to submit a contact form. The flexibility claim is real but specific: one free package conversion after 24 months from first disbursement, per the Letter of Offer.BEST FOR: borrowers who want the online-application perks and the option to switch packages mid-loan without refinancing costs.
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Worth knowing about mainly because of a common and expensive mix-up. Standard Chartered's well-known MortgageOne offset account, where linked deposits cancel out loan interest, is for private residential property only and cannot be used on an HDB flat, minimum loan S$100,000. The product HDB owners used to be pointed to was HDB Home Suite, offering fixed, SORA-pegged and fixed-deposit-rate packages with free conversion once the lock-in ended. Check this before you plan around it: as at 25 September 2026, the words 'HDB' and 'Home Suite' appear nowhere on Standard Chartered's mortgages hub, its MortgageOne page or its Green Mortgage page, and the old HDB Home Suite URL returns a 404. The bank's own site now names only MortgageOne, Loan Repricing and Green Mortgage. Brokers still list Standard Chartered fixed and SORA packages for completed properties (PropertyNet.SG's 20 October table quotes an HDB floating rate of 3M SORA + 0.50%, about 1.74%), and the terms they quote are a minimum loan of S$100,000, up to 75% of the purchase price, borrowers aged 21 to 65, and minimum annual income of S$30,000 for Singaporeans and PRs (S$36,000 for foreigners).BEST FOR: borrowers already banking with Standard Chartered who are willing to ask a mortgage banker directly. Everyone else should confirm an HDB package exists before counting on it.
Visit website| Lender | Headline rate | Min. loan | Lock-in | The catch |
|---|---|---|---|---|
| HDB Concessionary | 2.6% p.a., unchanged | None | None | Dearest rate here, but the 25% downpayment can come entirely from CPF with no cash. You can leave for a bank later, never come back |
| DBS / POSB | 1.78% for years 1 to 3 on the 3-Year CPF-OA HDB Loan (0.72 points below the CPF OA rate), POSB's only published HDB package; DBS 2-year fixed 2.33% on broker tables | S$100,000 (CPF-OA loan) | 3 years | Steps up to 2.20% in years 4 to 5 and 2.40% after, and would rise if the OA rate ever left its 2.5% floor. The 2.08% 3-Year Fixed is no longer listed. No early repayment fee, and fees waived if you sell |
| OCBC | 3M SORA + 0.30% floating (about 1.54%, broker, joint-cheapest for HDB); 1M SORA + 0.98% promotional package on OCBC's own site (about 2.34%) | S$100,000 (OCBC's stated HDB minimum) | 2 years | Prepay up to 50% of the loan in the first 2 years, and switch package free after year 1, but new loans only. its HDB 2-year fixed is now 2.30% on broker tables |
| UOB | 3M SORA + 0.70% for years 1 to 2 published (about 1.97% at 26 Oct SORA); 2-year fixed 2.05% and 3M SORA + 0.45% (about 1.69%) on broker tables | S$250,000 (published package) | 2 years | The published SORA package is a limited tranche for new direct-to-bank customers. The online promo needs an application by 31 Mar 2027 and acceptance by 7 Apr 2027 |
| Standard Chartered | Nothing published; 3M SORA + 0.50% (about 1.74%) HDB floating on broker tables | S$100,000 (broker-quoted) | Varies | Standard Chartered no longer names any HDB product on its own site. MortgageOne, the offset account, is private property only |
| Hong Leong Bank, Maybank and HSBC (not ranked here) | Hong Leong Bank 1.65% 2-year fixed, the lowest HDB fixed rate by 0.30 points; Maybank 3M SORA + 0.30% (about 1.54%), joint-cheapest HDB floating, and 1.95% fixed; HSBC 2.30% to 2.40% fixed (PropertyNet.SG, 20 October) | Not published on the broker table | 2 years | HSBC led HDB rates in September (1.45% fixed) and early October (1.46% floating) and has since dropped both, so these rankings move monthly. Ask each for a fresh quote |
That 2.6% is not arbitrary. It is pegged at 0.1 percentage points above the CPF Ordinary Account rate, and CPF Board confirmed on 22 September 2026 that the OA stays at its legislated 2.5% floor from 1 October to 31 December 2026. The market formula behind the OA rate, the 3-month average of the major local banks' rates, computed just 0.32% for February to April 2026, so the floor is binding by a very wide margin. The next review is for January 2027, and on those numbers it is not going to change anything.
POSB has rebuilt its HDB line-up around that floor. The new 3-Year CPF-OA HDB Loan is priced below the CPF OA rate rather than off SORA: 1.78% for years 1 to 3 (0.72 points below the OA rate), 2.20% in years 4 and 5 (0.30 below) and 2.40% after that (0.10 below), with a S$100,000 minimum loan. While the OA sits at 2.5%, that is always under HDB's 2.6%, and POSB puts the average saving at about S$3,100 a year during the lock-in on a S$400,000, 20-year loan. The one risk is the same as HDB's: if the OA rate ever rose off its floor, this loan would rise with it. It is now POSB's only published HDB package: the 3-Year Fixed (2.08%, then 3M SORA + 1.00%) and the older 1.60% 5-Year FHR6 loan are both gone from its HDB page as at 31 October 2026.
Through September the cheapest HDB packages were 2-year fixed rates around 1.45% to 1.65%. Banks raised them in early October and again by 20 October: on PropertyNet.SG's latest HDB table Hong Leong Bank holds at 1.65%, but the next cheapest fixed rates are now Maybank 1.95% and UOB 2.05%, with OCBC, DBS and HSBC at 2.30% to 2.40%. Floating rates did not follow, so the cheapest HDB packages are OCBC and Maybank at 3M SORA + 0.30% (about 1.54%), then UOB at 3M SORA + 0.45% (about 1.69%). HSBC, which led floating at 1.46% earlier in the month, no longer lists an HDB floating package. The catch with floating is direction: 3-month SORA has climbed from a 2026 low of about 1.05% to about 1.27% (26 October), and UOB's 25 September forecast has it at 1.40% by end-2026 and about 1.63% by Q3 2027. On that path a 1.54% floating package passes Hong Leong's 1.65% fixed within months, which is why the broker now leans HDB borrowers towards that fixed rate. Pick floating only if you are comfortable with that drift.
Comparison portals now lead with 1.44% to 1.57%. Those are not HDB numbers: PropertyNet.SG's 1.44% is a private-condo floating rate indicated on a S$1 million loan, and MortgageWise's page title (31 October 2026) puts a S$500,000 minimum loan on its 1.57%. A typical HDB borrower is quoted the HDB column, which starts at 1.54% floating and 1.65% fixed.
The old advice that Singapore banks never publish HDB rates is only half right, and the half that is wrong costs you a phone call:
| Bank | Published on its own site | Not published |
|---|---|---|
| DBS / POSB | 3-Year CPF-OA HDB Loan at 1.78% (years 1 to 3), 2.20% (years 4 to 5), 2.40% after, S$100,000 minimum (its only HDB package now) | Its fixed rates (2-year fixed 2.33% on broker tables) |
| UOB | 3M Compounded SORA + 0.70% (years 1 to 2), + 0.80% (year 3), + 1.00% thereafter | All fixed rates, quoted by contact form |
| OCBC | 1M Compounded SORA + 0.98% (years 1 to 2), + 1.40% thereafter | Its fixed rates |
| Standard Chartered | Nothing, and no HDB product is named at all | Everything |
The catch runs the other way from what you would expect: broker tables show tighter spreads for the same banks than the banks post publicly, because rates are tiered by loan size, income and tenure. Treat a website rate as a ceiling.
For reference when you price a floating package, SORA was around 1.27% (3-month compounded) and 1.36% (1-month) as at 26 October 2026, per MAS figures reproduced in MortgageWise's rate table. So UOB's published 3M SORA + 0.70% works out near 1.97% and OCBC's 1M SORA + 0.98% near 2.34%. Both sit well above the broker-quoted HDB floating spreads of + 0.30% to + 0.45%, which is the clearest example of why a website rate is a ceiling.
HDB used to let you borrow more. It no longer does. Since 20 August 2024, HDB concessionary loans are capped at 75% loan-to-value, the same as bank loans, so both need a 25% downpayment. The real difference is cash: HDB's 25% can come entirely from CPF, while a bank loan requires at least 5% of the price in cash, and its rate can move once the fixed period ends.
Bank loans are cheaper. As at 31 October 2026, HDB-eligible bank packages run from roughly 1.54% to 1.97% p.a. against HDB's 2.6%. On a S$400k loan, a gap of 0.63 to 1.06 points is roughly S$2,500 to S$4,200 a year in interest; POSB puts the saving on its 1.78% CPF-OA package at about S$3,100 a year during the lock-in. The deciding factor is usually cash, not the loan-to-value limit: since 20 August 2024 both HDB and bank loans cap out at 75% LTV, so both need 25% down. The difference is that HDB's 25% can come entirely from your CPF Ordinary Account, while a bank loan requires at least 5% of the price in hard cash. Pick HDB if you do not have that cash on hand or you want a rate that never moves. Pick a bank if you have the cash, can stomach floating-rate risk once the fixed period ends, and want to save on interest. You can refinance HDB to bank later, but not the other way.
On PropertyNet.SG's October 2026 table (updated 20 October), the cheapest HDB packages are floating: OCBC and Maybank at 3-month SORA + 0.30%, about 1.54%, followed by UOB at 3-month SORA + 0.45% (about 1.69%). The cheapest fixed rate is Hong Leong Bank's 1.65% 2-year package, and it stands alone: banks raised fixed rates twice in October, so the next cheapest are Maybank at 1.95% and UOB at 2.05%. Because UOB forecasts SORA rising, that 1.65% fixed may well work out cheaper over two years. Those are broker figures, so treat them as indicative and ask for a formal quote; floating rates also reprice every one or three months, and UOB forecasts 3-month SORA rising to about 1.40% by end-2026. The cheapest number a bank publishes on its own site is POSB's 3-Year CPF-OA HDB Loan at 1.78% p.a. for years 1 to 3, pegged 0.72 points below the CPF Ordinary Account rate, with a S$100,000 minimum loan. It steps up to 2.20% in years 4 and 5 and 2.40% after that, which stays below HDB's 2.6% as long as the OA rate holds at 2.5%. It is now POSB's only published HDB package: the 2.08% 3-year fixed is no longer listed. Ignore the 1.44% to 1.57% headlines on comparison portals: PropertyNet.SG's 1.44% is a private-condo rate, and MortgageWise's own page title puts a S$500,000 minimum on its 1.57%.
No. CPF Board confirmed on 22 September 2026 that the Ordinary Account rate stays at its legislated 2.5% floor from 1 October to 31 December 2026, because the OA's market-pegged rate is still below that floor. The HDB concessionary rate is pegged 0.1 percentage points above the OA rate, so it remains 2.6% for the quarter. The OA rate is the higher of a market formula (the 3-month average of the major local banks' interest rates) and the 2.5% floor, and the formula computed just 0.32% for February to April 2026, nowhere near it. The rate is reviewed every January, April, July and October, so the next possible change is January 2027, and on these numbers that is very unlikely. The same peg now matters for one bank loan too: POSB's 3-Year CPF-OA HDB Loan is priced below the OA rate, so it also stays put while the floor holds.
Some do, and the ones that do not are the ones you have to ask about. DBS publishes its one POSB HDB package outright: 1.78% for years 1 to 3 on the 3-Year CPF-OA HDB Loan (S$100,000 minimum). The 2.08% 3-Year Fixed it also used to publish is no longer listed. UOB publishes a promotional floating package at 3-month Compounded SORA + 0.70% for years 1 and 2, but tells you to fill in a contact form for anything fixed. OCBC publishes a 1-month Compounded SORA + 0.98% promotional package. Standard Chartered publishes no rate and, as at 31 October 2026, does not name an HDB product on its mortgages hub at all. The important part is that the published numbers are generally the worst you will be offered: broker tables for the same banks show tighter spreads (PropertyNet.SG's October table lists a UOB HDB floating package at 3M SORA + 0.45% against the + 0.70% on UOB's own page), because rates are tiered by loan size, income and tenure. Treat a website rate as a ceiling and get at least two formal quotes in the same week.
Yes. HDB loan to bank loan is allowed at any time without penalty. Bank-to-bank refinancing is also common, typically every 2 to 3 years when the lock-in period ends. Watch out for minimum loan size (many banks want around S$200,000 to consider you, and Maybank sets S$200,000, POSB S$100,000 on its CPF-OA loan, while UOB's published SORA package wants S$250,000), legal fees of S$1,800 to S$3,000 unless the bank covers them, and existing lock-in penalties, usually around 1.5% of the outstanding loan if you refinance inside the lock-in. Two refinancing promotions are live: UOB is giving a S$2,000 cash rebate for refinancing a loan of S$300,000 or more as part of a package worth up to S$2,700, for online applications submitted from 1 October 2026 to 31 March 2027 with the offer accepted by 7 April 2027, and DBS/POSB pay HDB refinancers S$2,300 in cash rewards on loans from S$300,000, S$2,500 from S$500,000, S$2,800 from S$1,000,000 and S$3,200 from S$1,500,000, for applications from 1 July to 31 December 2026 (extended from 31 October).
25% either way. The old 20% figure for HDB loans is out of date. With effect from 20 August 2024 the LTV limit on HDB concessionary loans was cut from 80% to 75%, matching bank loans. What still differs is how you pay it. With an HDB Concessionary Loan: 25% downpayment, all fully payable from your CPF Ordinary Account, no cash required. With a bank loan: 25% too, but at least 5% of the purchase price must be in cash, with the remaining 20% from CPF or cash. Stamp duty (BSD, plus ABSD if applicable) is on top. For a S$500k flat, an HDB loan needs S$125k down and CPF can cover all of it; a bank loan also needs S$125k, of which S$25k must be cash and S$100k can come from CPF.
Three ceilings apply, and the lowest one wins. First, LTV: a maximum of 75% of the purchase price or valuation (whichever is lower) for both HDB concessionary and bank loans, since the 20 August 2024 change. Second, MSR: your monthly mortgage repayment cannot exceed 30% of your gross monthly income, which applies to HDB flats and to ECs bought from developers. Third, TDSR: all your monthly debt obligations combined, including car loans, personal loans and credit card minimums, cannot exceed 55% of gross monthly income. In practice MSR is the binding constraint for most HDB buyers, so clearing existing debt before you apply often raises your loan quantum more than shopping for a lower rate does.
No. MortgageOne, the offset account where cash in a linked savings account cancels out the interest on your loan, is restricted to private residential property with a minimum loan of S$100,000. Standard Chartered's own product page describes it for private residential property, so an HDB flat does not qualify no matter how much cash you park. This trips up a lot of buyers, because MortgageOne is the Standard Chartered mortgage most people have heard of. The bank's HDB-specific product used to be HDB Home Suite, but as at 25 September 2026 the words 'HDB' and 'Home Suite' appear nowhere on Standard Chartered's mortgages hub, its MortgageOne page or its Green Mortgage page, and the old product URL returns a 404. If offsetting is the specific feature you want, no local bank currently offers a true offset account on HDB loans; you would need to be buying private property.
